ONEOK, Fermaca Plan Gas Pipeline from West Texas to Mexico

ONEOK Partners, L.P. has a 50-50 joint venture with a subsidiary of Fermaca Infrastructure B.V., a Mexico City-based natural gas infrastructure company, to build a pipeline transporting gas from the Permian Basin in West Texas to Mexico.

The Roadrunner Gas Transmission project extends from ONEOK Partners’ ONEOK WesTex Transmission gas pipeline system at Coyanosa, TX, west to a new international border-crossing connection at the U.S. and Mexico border near San Elizario, TX, where it will connect with Fermaca’s Tarahumara Gas Pipeline.

The project, to be constructed in phases, includes 200 miles of 30-inch pipeline designed to transport up to 640 MMcf/d of natural gas with up to 570 MMcf/d to be transported to Mexico’s growing markets.

The first phase of the project for 170 MMcf/d of available capacity is expected to be completed by early 2016. The second phase, which will increase capacity to 570 MMcf/d, is expected to be completed in early 2017. The third and final phase of the project should be completed in 2019 and will increase available capacity on the pipeline to 640 MMcf/d.

ONEOK Partners will manage construction and will be the operator upon completion. The estimated cost is $450-500 million.